A data room is a secure place where you can share documents and files with other parties in the context of business transactions. The data is protected with a variety security measures, and can only read by those who have been granted access. This reduces the chance that confidential business information will end up in the wrong hands during an exchange.
For example, if your company is looking for an investor, they will be looking through all of the documentation that you have on the company including financial projections as well as legal documents. This is usually done through the virtual dataroom which allows investors to access the documents from any location. This eases the due diligence process and makes it easier to complete a deal.
The same is true for the merger. To see this page ensure they are getting the most value from their investment, the acquiring company must have all details about the target company in an online data room. This can be a time-consuming and costly process if information is scattered across several documents.
A neat, organized data room will make it easier for people to locate information. The information should be organized into folders. Make sure you have clear titles for every document and describe each file with its own. This will allow the stakeholders to spend less time sifting through the information and more time addressing important questions.